Clearwire’s shares plunge after mammoth deal

Shares of Kirkland-based Clearwire fell more than 12 percent in heavy trading today and are now off about nine percent, a sign that investors don’t like everything they see in the merger with Sprint Nextel’s WiMax assets.

The stock, now trading at $14.70 and hitting a low of $13.81, took a hit after research analysts questioned the $14.5 billion valuation of the new company.

“Being a start-up using evolving technology with an unproven model, we believe a $14.5 billion valuation for the company is too high,” UBS analyst John Hodulik said in a research note reported by Reuters.

“The business model still faces operating and financial hurdles at an early stage of its buildout. The same challenges remain for the combined businesses with respect to a coverage plan that reaches less than half of the U.S. population by 2010.”